The Correct Alternate Hypothesis for the Overall Model Significance for This

question 5

Multiple Choice

The correct alternate hypothesis for the overall model significance for this model is

• A) HA: at least one β ≠ 0
• B) HA: βLIT = βLEXP = 0
• C) HA: βLIT = 0
• D) HA: βLEXP = 0
• E) HA: all β = 0

---

Definitions:

Taxable Income

The amount of an individual's or a company's income used to determine how much tax they owe to the government in a given tax year.

Income Tax

A tax levied by governments on individuals or entities' income. The rate can vary based on the level of income earned.

Regressive

Describing a tax system in which the tax rate decreases as the taxable amount increases, often placing a higher burden on lower-income individuals.

Proportional

Relating to or denoting a relationship where quantities or sizes are in direct relation to each other.